Bagasse Not Dutiable; Rule 6(3) of CCR, 2004 Not Applicable

Daurala Sugar Works Vs Commissioner of Central GST (CESTAT Allahabad) The case of Daurala Sugar Works vs. Commissioner of Central GST before CESTAT Allahabad revolves around the classification of bagasse and its impact on CENVAT credit entitlement. Daurala Sugar Works, engaged in sugar and molasses production, also generates electricity using bagasse, an agricultural by-product. The central issue was whether bagasse qualifies as a manufactured item under Chapter 17 of CETA, 1995. The appellant contested the reversal of CENVAT credit on inputs used in generating electricity sold to UP Power Cor...